Northern cities seeing stronger growth than southern counterparts, research reveals

Hospitality businesses in the north of England are demonstrating stronger resilience and growth than those in the south, according to new research.

Data from the Northern Restaurant & Bar (NRB) show and CGA by NielsenIQ found that the north had seen a 0.1% increase in the number of licensed premises in 2024, while the south had seen a 0.2% decline.

Siobhan Thompson, event manager for NRB, said: “The hospitality sector across Britain is stabilising, and we’re seeing some key regional differences in how operators are adapting to market conditions.

“The north continues to demonstrate strong resilience, innovation, and investment, which has helped drive growth in key cities. With a steady stream of new openings, evolving consumer trends, and continued enthusiasm from operators, Northern hospitality remains a vital and thriving part of the UK’s food and drink landscape.”

The strongest performing cities in the north were Liverpool, Chester and Sheffield, which all saw a 2.4% increase in site numbers. These cities outperformed London, which saw growth of 1.6%, and the national average, which was flat.

Pubs and bars performed strongest in northern cities, recording a 4% increase in visits, compared to a decline of 1% seen in the south.

Spending increased by an impressive 6.2% in the north in 2024, with average monthly spend surpassing £100 for the first time. The south saw slightly lower growth at 4.8% but spend remained slightly higher overall in the region at £108 a month.

The positive numbers for the north did not extend to nightclubs, which saw visits fall by 5% compared to 2% in the south.

Research also showed that the north was attracting major investment from both homegrown talent and national and international brands.

New hospitality openings in 2024 included Skof in Manchester by Simon Rogan alumni Tom Barnes – which won a Michelin star earlier this week - as well as Chartwell at Aldwark Manor Estate in North Yorkshire and Fifty Two at Rudding Park hotel in Harrogate.

Meanwhile Mission Mars, the group behind Albert’s Schloss bars (pictured) and Rudy’s Napoletana pizzas, has continued to expand south from its northern heartland. An 18,000 sq ft Albert’s Schloss opened on London’s Shaftesbury Avenue last year while Rudy’s will launch its 31st nationwide restaurant in Leamington Spa in March.

NRB will take place in Manchester from March 11-12.